St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-05-14
Enumeration of the Evidences That the
Hills Towns Are Better Off Than
If They Had Boom.
Speculation Regarding the Prospects
for a Big Oil Find Over the
Border in Wyoming.
Petroleum Stock Companies---A Great
Deal Of Talk of Railway Build
ing in Prospsctu.
Special Correspondence of the Globe.

lbcIdllOHS Oh tllc local press UildG Unc
BLACK Hills are on the eve of an era of
unexampled prosperity, 'theW ashington
reporter is compelled to admit that thus
far this spring there is a disappointing
tOrpidity in "booms' of all denOmina-
tons. Explanations are plenty and con-
vincing of why this fact is fact. A
year ago now Rapid City was in the
midst of her greatest real estate activity
and all the upper camps were running
wild on stocks, while Buffalo Gap was
enjoying the stimulus of railroad
terminus and even lovely, lazy Custer
was counting up her millions of tin
chickens. Now all these towns are
IN THE DoLDRUMs.
The season is month later than last
spring was and no prospecting or devel-
Opment work has yet been possible,
placerS are idle and ore shipments i'm
possible. Last year was a bad crop
year, and farmers instead of having
money TO spend have been borrowers
for subsistence and to carry stock
|. through the winter. The booms of last
year called out all the reserves of the
private deposits and the stOcking-leg
banks, and now people have little to re-
uIatiOn went into collapse last fall; the
Eta mine and mills shut down and gave
the tin interests black eye. The rally
has not come yet. Mining shares on our
exchange, after six weeks of unanimous
and manful boosting. have taken sag
back and the constellation UrSa is in the
ascendant. immigration is diSappoint-
ing and outside capital comes in Slowly,
while home plutocrats manifest the re-
serve of the kid who has monkeyed too
much with the fire. All through the
hills you hear the same anxious and
naive wondering, ''why things don't
Start?'
TIE OTHER SIDE
of the picture will be found in the cardi-
nal fact that people are better off than
they know or will admit. Real estate
values at Rapid City are, on the whole,
maintained with extraordinary strength
preparations for working mines all
through the hills are on greater scale
than ever before known. Assessments
for mining work are paid up with
-pfnmptneSs. The Eta Tin company
ls.S shown its own faith by Investing
heavier thanever in claims. So far as
inquiries for tin and gold mining prop
critics from outside can be taken as en-
cOuraging-and the true rustler needs
only a little of that to base
the most beautiful castles upon
we have more encouragement than ever
we have had. Mems expectations are
feverish. They want the earth. Moth
ing but freak-bOomS satisfies them. In
the increased business, more careful
business and mining methods, more
gradual and solid growth are to be fCun
the best signs of the situation, and these
are the very conditions at which many
men most deSpond and grumble. Ship
ping out ores for smelling is a legiti-
mate II unecOn0mical mining operation ::
and in two or three months the effect of
returns from this source will begin to
be felt in the money market and on the
values of all stocks. Therefore, think
that mining boom such as all are now
anXiously waiting for will not come this
year, but that better and more sub
stantial prosperity will come.
PETROLEUM PROSPECTING.
There is considerable tip-toe expecta-
ton regarding the results of drilling for
oil in Crook county, Wyoming. There
are two test wells going down about
seventy-five miles west of this place,
work upon which was begun last fall,
and suspended during the winter. One
of these is down about 400 feet and the
other 700. The latter is in charge of eX-
perienced drillerS from PENNSYLVANIA.
but they have met with obstacles so Sc
rious that they are now compelled to
pull up and start new hole. The diff
culties relate to peculiarities of forma-
ton. The other well at the depth of $50
feet struck a small vein of lubricating
oil, which has been inspected by
any known deposit of the kind.
The demand for it in the present con-
dition OF transportation facilities would
be limited, but the mills of the Hills
alone require enough to make the stock
of the company that own this well valu-
able, provided the mills will take it.
Lubricating oil now in use is brought
from New York and it is hardly neces-
Sary to add, bears the brand of the
Standard Oil company. Whether more
used or moresproiitable light petroleum
shall be found in Wyoming is altogether
Il matter of guess, with the surface in
dications and geology against it. Your
correspondent, however, hazards no
opinion until he has seen the field,
which will be soon.
PETROLEUM STOCK COMPANIES.
When the stock boom was OH last fall
the oil fever ragged too. Lead City was
the principal seat of the disturbance.
with all other places in this northern
area more or less affected. About a
dozen Oil companies were formed and
proSpectOrS were sent out into Wyoming
to stick some stakes in the ground as a
foundation for the company. There are
millions of acres free to all, and all is
equally good oil territory so far as any
living man knows. Upon this basis
some of these oil stocks are held stiff as
high as 6 cents a share in a capital
iZation of 100000 ShareS--an assumed
value of $4,000 to an entirely imaginary
prospect. And this at time when
plenty of stocks in mines with gold and
silver in sight can be bought for half
the price! So much for new kind of
castle-in-the-a But YOU NAV gamble
on the certainty that il anything val
liable at all is found in these test wells
there will be an oil excitement such rs
Pennsylvania never saw and few min
ing crazes ever eQualed. May | be
there to see!
RAILROAD RUMBLINGS.
The air is still full of rails and rumors
of rails, most of which are thoughts
fathered by wishes Out of them all
the two most tangible facts are that en-
gineers are cross-sectioning the line on
the northward extension of the Elllhorn
branch of the Chicago IL Northwestern
beyond Rapid City, and that Mr.. Chap
man aSSeverates that he has the pledge
from two sources of capital to carry out
his narrow-gauge schemes. The latter
have grown, and now include line
from Rapid City westward to the WyOm-
ing oil regions; one SouthWestWard
through Cnster county to meet the re-